Consumer market consists of individual customer whereas the Business market comprises of businesses as customers. The differences between the two are:
- The products for the two markets are essentially different.
- The consumers buy small quantities whereas the businesses buy in bulk.
- Consumer market requires more marketing on mass media whereas the Business market requires more personalized marketing
The factors that influence Buying behavior are as follows:
- Financial strength of the consumers
- Number of product options available
- Prices in the market
- Attitudes, beliefs and perceptions
- Peer and family pressure
- Product conformity to social status (esp for consumer market)
Business Marketing is the practice of individuals, or organizations, including commercial businesses, governments and institutions, facilitating the sale of their products or services to other companies or organizations that in turn resell them, use them as components in products or services they offer, or use them to support their operations. Also known as industrial marketing, business marketing is also called business-to-business marketing, or B2B marketing, for short. (Note that while marketing to government entities shares some of the same dynamics of organizational marketing, B2G Marketing is meaningfully different.)
Business marketing vs. Consumer marketing
Although on the surface the differences between business and consumer marketing may seem obvious, there are more subtle distinctions between the two with substantial ramifications. Dwyer and Tanner (2006) note that business marketing generally entails shorter and more direct channels of distribution.
While consumer marketing is aimed at large demographic groups through mass media and retailers, the negotiation process between the buyer and seller is more personal in business marketing. According to Hutt and Speh (2001), most business marketers commit only a small part of their promotional budgets to advertising, and that is usually through direct mail efforts and trade journals. While that advertising is limited, it often helps the business marketer set up successful sales calls.
Marketing to a business trying to make a profit (Business-to-Business marketing) as opposed to an individual for personal use (Business-to-Consumer, or B2C marketing) is similar in terms of the fundamental principals of marketing. In B2C, B2B and B2G marketing situations, the marketer must always:
•successfully match the product/service strengths with the needs of a definable target market;
•position and price to align the product/service with its market, often an intricate balance; and
•communicate and sell it in the fashion that demonstrates its value effectively to the target market.
What Is The Difference Between Consumer Market Vs Business Market?
1)fewer, large buyers in business market
2)inelastic demand " "
3)direct purchases " "
4)multiple buying " "
5)indirect demand " "
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The basics of both kinds of marketing are basically similar but the problems faced can vary. All marketers choose target segments and base their marketing plans, such as price, type of marketing and distribution on those target segments.
But the nature of business purchasing is influenced by many decision makers, buyers and the likely long term relationships. Businesses usually emphasis more on a product's functionality as compare to anything else. Businesses also have the resources to buy from global markets; which boost competition. Also, this type of marketing is more logical rather than emotional. Lots of products that skilled buyers buy will be utilized at the workplace so it is difficult to make any kind of emotional tie to the goods. Consumer marketing is targeted at large groups with the help of mass media and retailers, the negotiation procedure among the purchaser and retailer is more personal in business marketing.